U.S. Direct Investment Abroad(redirected from US Direct Investment Abroad)
U.S. Direct Investment Abroad
A major investment by an American corporation outside the United States. For example, an American company may buy a factory in Indonesia because labor costs are lower. Many economists believe that U.S. direct investment abroad is good for an economy, as it provides jobs and increases domestic capital. Critics point out that profits usually leave the invested country and go to the American company. U.S. direct investment abroad is a type of foreign direct investment.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved